Ormat Technologies Inc (ORA)
Quick ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 195,808 | 78,079 | 275,066 | 414,856 | 95,872 | 154,633 | 263,425 | 130,006 | 239,278 | 267,802 | 250,009 | 376,630 | 448,252 | 197,309 | 173,718 | 231,149 | 71,173 | 97,602 | 110,665 | 79,366 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | 42,927 | 43,343 | 45,479 | 45,960 | 27,735 | 98,217 | 91,277 | — | — | — | — | — | — |
| Receivables | US$ in thousands | 520,345 | 202,707 | 183,585 | 180,608 | 316,640 | 137,923 | 142,308 | 137,311 | 244,574 | 167,660 | 149,569 | 150,224 | 394,748 | 180,846 | 197,878 | 196,642 | 373,123 | 157,708 | 155,255 | 158,189 |
| Total current liabilities | US$ in thousands | 537,012 | 540,034 | 383,209 | 390,960 | 343,910 | 372,028 | 353,113 | 583,991 | 544,156 | 534,272 | 246,229 | 254,234 | 248,647 | 236,303 | 404,646 | 567,319 | 376,476 | 352,723 | 276,594 | 268,090 |
| Quick ratio | 1.33 | 0.52 | 1.20 | 1.52 | 1.20 | 0.79 | 1.15 | 0.53 | 0.97 | 0.90 | 1.81 | 2.18 | 3.79 | 1.99 | 0.92 | 0.75 | 1.18 | 0.72 | 0.96 | 0.89 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($195,808K
+ $—K
+ $520,345K)
÷ $537,012K
= 1.33
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations using its most liquid assets. A quick ratio above 1 indicates that a company has enough liquid assets to cover its current liabilities.
Ormat Technologies Inc's quick ratio has fluctuated over the past eight quarters, ranging from 0.62 to 1.68. In Q4 2023, the quick ratio was 0.95, indicating that the company had $0.95 of liquid assets available to cover each $1 of current liabilities.
The quick ratio in Q4 2023 improved from the previous quarter, where it was 0.67, but was still lower than the levels seen in Q2 and Q1 of 2023. This suggests that Ormat Technologies Inc may have a slightly weaker ability to meet its short-term obligations in Q4 compared to the two previous quarters.
Overall, the trend in Ormat Technologies Inc's quick ratio indicates some fluctuations in the company's liquidity position. Further analysis and comparison with industry benchmarks would be necessary to better understand the company's liquidity management and potential financial risks.
Peer comparison
Dec 31, 2023